Post-Nuptial Agreements on the Rise as couples work to avoid fights in the future over finances.
While some people use a post-nup because they think their marriage is on the rocks, it's not unusual to write one to update a prenup.
Indeed, one factor in the rising use of post-nups is that more couples are using prenups and post-nups, especially in a second marriage.
Post-nups also get written after a major life event such as receiving a large inheritance, taking a business public, or even winning the lottery. Some of the strangest uses of the agreements include limiting the future number of children and, in the event of a divorce, deciding pet visitation and divvying up cemetery plots.
While a post-nup "suggests a lack of trust in one another," said Debbie Cox, a wealth advisor with JPMorgan Private Bank in Dallas, "it's really about prudent management of assets."
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Similarly, couples with "blended" families could use post-nups to ensure that the children from a previous marriage receive assets —such as a beloved family vacation home —in the event of a death or a divorce.
Cox said that while couples may not be thinking about a post-nup, a financial advisor should raise the issue to prepare for "a low-probability but high-impact event."
Ferro said that by setting forth expectations and obligations, the agreements actually can reduce everyday stress.